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Add Climate Change: Growing Doubts Over Chip Fat Biofuel

Damaris Dickerson 2025-01-12 04:07:35 +08:00
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<br>Climate change: [Growing doubts](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) over chip fat [biofuel](https://www.sec.gov/Archives/edgar/data/1463471/000165495419013063/R31.htm)<br>
<br>21 April 2021<br>
<br>remarks<br>
<br>354 Comments<br>
<br>New research study concerns the environmental effect of rising imports of used cooking oil (UCO) into the UK and Europe.<br>
<br>Chip fat and other oils are considered waste, so when they are used to make biodiesel it [saves carbon](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) emissions by displacing fossil oil.<br>
<br>But such is the need across Europe that imports now represent majority of the UCO that's made into fuel.<br>
<br>According to the research study, external, there's no way to show these imports are sustainable.<br>
<br>With no screening of what's being available in, professionals think it is likewise ripe for scams.<br>
<br>Used cooking oil [imports](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) might increase deforestation<br>
<br>Consumers pose 'growing hazard' to tropical forests<br>
<br>Reducing emissions from transport is proving to be one of the toughest challenges for all over the world.<br>
<br>They've encouraged the use of biofuels as an essential means of [suppressing carbon](https://forest500.org/rankings/companies/mission-newenergy-limited) from automobiles and lorries.<br>
<br>Biofuels are normally a mix of fossil fuel and oil made from plants or vegetables.<br>
<br>The truth that these crops can be re-grown and soak up more CO2 indicates they cancel out the carbon discharged when utilized in engines.<br>
<br>Soy and palm oil were as soon as commonly utilized as components of [biodiesel](https://forest500.org/rankings/companies/mission-newenergy-limited) but this practice has been widely discredited because it encourages deforestation.<br>
<br>So for the last decade or two, making use of used cooking oil has actually expanded enormously as an alternative feedstock for fuel.<br>
<br>Chip fat and other waste oils have ended up being a key part of biodiesel with an effective industry springing up across Europe to gather and process the item.<br>
<br>But with the amount of biodiesel made from [UCO increasing](https://www.businessnews.com.au/Company/Mission-NewEnergy) by around 40% every year given that 2014, there simply isn't [adequate chip](https://www.proactiveinvestors.com.au/ASX:MBT/Mission-NewEnergy-Ltd) fat to go around.<br>
<br>According to a report from the campaign group Transport & Environment, external, more than half of the UCO used in Europe is imported.<br>
<br>Their study suggests this is [highly problematic](https://www.zonebourse.com/cours/action/MISSION-NEWENERGY-LIMITED-8557641/) when it concerns influence on the environment.<br>
<br>While UCO is thought about a waste material in the UK, in China, [Indonesia](https://www.marketscreener.com/quote/stock/MISSION-NEWENERGY-LIMITED-178469/company/) and Malaysia it has long been utilized to feed animals. The report raises the concern of what people in these nations are replacing the UCO with, when it is exported.<br>
<br>In 2019, Malaysia exported 90 million litres of UCO to the UK and Ireland. [Figures](https://www.investing.com/equities/mission-newenergy-ltd-company-profile) for their [exports](https://www.intelligentinvestor.com.au/shares/asx-mbt/mission-newenergy-limited/share-price) to other European countries aren't readily available however the circulation of UCO is most likely to be comparable.<br>
<br>With a [population](https://www.crunchbase.com/organization/mission-newenergy) of around 33 million, that's close to 3 litres per head of [utilized oil](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) that's gathered and exported to the UK and Ireland alone.<br>
<br>By contrast, Thailand, which has a population of 70 million people, managed to gather around five million litres of UCO in 2019.<br>
<br>"Because we are purchasing it, they have less utilized cooking oil to use on the important things that they were formerly utilizing it for," stated Greg Archer with Transport & [Environment](https://www.proactiveinvestors.co.uk/companies/news/159352/mission-newenergy-debt-free-focused-on-biofuel-joint-venture-60797.html).<br>
<br>"And they're just buying more virgin oil and that virgin oil is mostly palm oil, since that's the cheapest oil offered.<br>
<br>"So indirectly, we're just motivating more deforestation in Southeast Asia."<br>
<br>Another significant issue with UCO is the suspicion of scams.<br>
<br>Because of demand from Europe, the rate of UCO is frequently higher than palm oil. The worry is that some unethical traders are simply diluting shipments of UCO with palm.<br>
<br>As oils of different types are mixed in bulk for transport, and no screening of the materials is brought out, some professionals believe fraud is rife.<br>
<br>The tip of fraud anywhere along the chain of supply is rejected by the European Waste-to-Advanced Biofuels Association (EWABA), who say there are robust certification schemes in location.<br>
<br>"It is commonly known that the [European Commission](https://www.abnnewswire.net/companies/en/31347/%E0%B8%9A%E0%B8%A3%E0%B8%B4%E0%B8%A9%E0%B8%B1%E0%B8%97-Mission-NewEnergy-%E0%B8%88%E0%B8%B3%E0%B8%81%E0%B8%B1%E0%B8%94.html/4) has taken relevant actions to completely curb unsound market practices in [biofuel](https://stocktwits.com/symbol/MNEL) markets," stated Angel Alberdi, EWABA's secretary general.<br>
<br>He states a new database being established by the EU will make sure that trading, certification and sustainability data on all bio-liquids will need to be signed up.<br>
<br>"The combination of revised accreditation schemes and the [pan-EU track](https://www.proactiveinvestors.co.uk/companies/news/159346/mission-newenergy-delivers-maiden-biodiesel-production-to-global-oil-major-24476.html) and trace [database](https://www.google.com/search?kgmid=/m/0cqd_rb) will make sure that no sustainability problems emerge in the entire biofuels and [bio-liquids supply](https://www.energy-xprt.com/companies/mission-newenergy-limited-36048) chain," he told BBC News.<br>
<br>Others in the field are concerned that the database concept, which was very first mooted in 2018, may not be effective in stemming thought scams.<br>
<br>The report from Transport & Environment points out that with shipping and air travel aiming to decarbonise by utilizing biofuels, demand for UCO might double over the next decade.<br>
<br>"Rising the need beyond sustainable supply levels would [increase](https://www.bloomberg.com/profile/company/MNELF:US) these issues, and risks of utilizing 'fake' UCO, potentially resulting in indirect effects such as logging."<br>
<br>Follow Matt on Twitter @mattmcgrathbbc, external.<br>
<br>Related subjects<br>
<br>COP26<br>
<br>Paris climate contract<br>
<br>Climate<br>